MICROCAPITAL BRIEF: TriLinc Global Impact Fund II (TGIF II) to Invest in SMEs in Developing Economies

TriLinc Global, a US-based fund manager founded in 2008, recently launched the TriLinc Global Impact Fund II (TGIF II), through which it will lend to companies “committed to responsible, sustainable management and to the creation of positive, measurable impact in” Eastern Europe, Latin America, Southeast Asia and Sub-Saharan Africa. TGIF II seeks to give investors “income, capital preservation and modest capital appreciation primarily through providing term loans and trade finance facilities to established, growth stage, middle market enterprises.” Disbursements from TGIF II are issued via the following investment partners: Africa Merchant Capital, Alsis Funds, Asia Impact Capital, Barak Fund Management, CEECAT Capital, EFA Group, Helios Investment Partners, Scipion Capital, The Rohatyn Group, and TransAsia Private Capital. The target fund volume of TGIF II is USD 300 million. Investing in the fund requires a minimum of USD 150,000, and its annual management fee is 1.25 percent of gross assets.

TriLinc Global specializes in investing in companies that seek in positive, measurable social or environmental impact while generating a monetary profit. The company does this primarily by investing in small and medium-sized enterprises (SMEs) through collateralized debt instruments. In addition to TGIF II, Trilinc manages the TriLinc Global Sustainable Income Fund II (TGSIF II). During 2017, the company “financed USD 586.5 million in term loans and trade finance transactions in 59 enterprises operating in or trading into 20 developing economies and 3 developed economies.”

By Umit Naz Deryaoglu, Research Associate

Sources and Additional Resources

TriLinc press release
https://www.trilincglobal.com/trilinc-global-launches-new-fund/

TriLinc Global Impact Fund (TGIF) II
https://www.trilincglobal.com/trilinc-global-impact-fund-ii-tgif-ii/

TriLinc 2017 Sustainability and Impact Report
https://www.trilincglobal.com/wp-content/uploads/2018/03/2018-02-27-TGIF-2017-
Sustainability-Impact-Report-For-Website.pdf

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